Veropath’s Telecom Cost Management yields additional savings for Virgin Money
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This UK-based bank and financial services company is owned by the Virgin Group and was founded by Sir Richard Branson in March 1995. Virgin Money is becoming one of the UK’s leading retail banks. Following its acquisition of Northern Rock in early 2012, it has around four million customers in the UK.
Veropath was initially brought in to provide personal cost management and to handle Virgin Money’s estate of BlackBerry and iPhone mobiles. They were also commissioned for their telecom cost management services – to manage their suppliers for landline and conferencing services, and to provide a telecoms audit and review of their extensive wide area network (WAN) and hosting.
As Virgin Money was continuing to expand as a business, so too was their technology, becoming more and more complex – the monitoring of their telecom service levels and savings being made on their monthly spend was becoming more important and was in danger of getting out of hand. The company had taken some steps to manage their contracts more efficiently, but was not universally convinced that further value could be added by an external solution. Finlay Williamson, CFO of Virgin Money, explains, “It was initially a hard struggle for the IT department to accept that Veropath could improve on our telecom cost management and contract negotiation. They genuinely felt that they were doing all the things that Veropath was offering.”
The Veropath team worked closely with Virgin Money to help the bank understand more about the infrastructure and contractual position throughout their telecom estate. The mobile data for 1,700 employees was loaded into the powerful Veropath portal each month and more than 120,000 transactions were validated. Using the application’s powerful analytics and reporting capabilities, the cost management service identified and quantified more efficient ways of running the estate.
Virgin Money now has a greater understanding of the benefits of using a telecom cost management specialist, rather than making it a function of their IT department. As Finlay Williamson explains, “The fact that IT doesn’t tend to have the infrastructure and supporting products to manage the telecoms area effectively came as some surprise to me. I now realise that there is a need for considerable specialised knowledge and experience of a telecoms consultancy that just doesn’t come naturally to those in IT.”
Virgin Money expects to continue to make savings of between 15% and 20% on its telecom expenditure. This follows savings they had already made themselves following robust negotiations with their suppliers which had been enabled and facilitated by Veropath’s expertise in telecom cost management.
"We originally thought we had a great deal with O2, but Veropath made it an even greater deal, shaving a further 10% off their already heavily discounted offer. What makes Veropath able to do what we could not have done in-house is the tremendous experience and depth of knowledge that they bring. I’m absolutely delighted and have never met such a bunch of efficient people."